South African steel producer Scaw Metals has started production of hot-rolled coils (HRC) and slabs at its new hot-strip mill complex in Johannesburg.
This development marks the entrance of Scaw Metals into the flats market. The company also produces long products.
The new slab caster has a capacity of 650,000 t/yr.
Construction works on a new electric arc furnace that will use scrap and direct reduced iron are expected to conclude in the coming months.
Output from the hot-strip mill complex will serve the pipe mills of the Barnes group, a company partially owned by Scaw Metals.
The remaining production will feed other unspecified flat product-consuming companies.
At present, there are no plans for HRC exports, and production is expected to replace imports to South Africa, a company source said, but higher value-added products could be exported in the future.
